Bitcoin, Ether Rebound As Bitcoin Cash Tumbles 30%
Major digital currencies rose on Thursday, with bitcoin prices stabilizing following the recent launch of Bitcoin Cash, a rival cryptocurrency that erupted out of the original version earlier this week and spurred some heavy selling.
The price of a single bitcoin BTCUSD, +3.99% rose 1.6% to $2,767.35 on Thursday, according to pricing website CoinDesk. In the wake of the Bitcoin Cash launch, it fell as low as $2,723.58.
At current levels, bitcoin remains sharply higher for the year, up more than 150%, though it remains below the record high above $3,000 that it hit in mid-June. At the same time, it has rebounded more than 40% from a recent low below $2,000 that it sank to on July 16.
The price of Bitcoin Cash, meanwhile, tumbled 30% to $439.36. However, that move follows a recent surge that had it more than double in its first 24 hours of trading. It remains about 15% higher for the week.
Analysts said the relative illiquidity of Bitcoin Cash had exacerbated the size of the nascent currency’s moves. Thus far on Thursday, there has been about $424.9 million in Bitcoin Cash traded, less than half the original bitcoin.
Despite that, Bitcoin Cash remains one of the largest digital currencies on the market. Its market capitalization is $7.18 billion, making it the third largest, behind both original bitcoin—$45.4 billion—and Ether, which runs on the Ethereum network and has a market capitalization of $21.3 billion.
The price of Ether was up 3.1% to $227.05 on Thursday. While it remains down more than 40% from an all-time high hit in June, it has recovered about 45% from a low of $157 hit on July 16.
With the day’s gains in bitcoin and Ether, the total market capitalization of the entire cryptocurrency space rose back above $100 billion, coming in at $101.89 billion.